Property question
 

Hi All,

I'd like to know if anyone who has made the move to Canada has kept their property here in the UK as an ongoing investment? We've not looked into this yet but are there any financial (tax) implications?

We have a fairly small mortgage on our flat and we're considering renting it out.

Thanks in advance for any advice.

Re: Property question
 

No, we didn't, instead we invested in property in Nova Scotia and its far outreached the return we could have expected in the UK, and still climbing.

Re: Property question
 

iirc you have to declare the income in Canada but can claim the costs such as the mortgage payments. People I know who kept their UK properties but never moved back have done extremely well on them while others who sold cannot now regain what they one had. I would certainly keep the flat it if at all possible.

(This advice wouldn't apply of course if you moved to the El Dorado that is rural Nova Scotia).

Re: Property question
 

Nice one Ontheboatout,

You've done pretty well there - I guess it's down to timing.

I don't think we'll get that sort of return in Vancouver as property prices are fairly high already, however we'll still try buy property there but in my name (the current mortgage is in my wife's name).

Re: Property question
 

We're also going to do the same, not planning on letting go of our lovely UK home that is making us lots of money (£60k increase in value in past 6 months! :eek:) so we're going to rent it as well. Then we have it to come back to as well if we want to, don't want to have to struggle to get back on UK property ladder if we decide to return home at later date. So will be interested to see what replies you get.

We may well buy in Canada too if we like it there, so will do both. :)

Re: Property question
 

Cheers Christmasoompa, that mimics our thoughts entirely.

We can rent our property out for considerably more than our monthly payments and it would be a shame if it all goes t*ts up to have to get back on the ladder.

Re: Property question
 

It's good thinking but we would have never gone back to the UK whatever happened - rather Timbuktu, no disrespect to Timbuktuians. Aren't you worried about the US recession pulling the UK market down - it's pretty protected by China here.

Re: Property question
 

http://www.hmrc.gov.uk/cnr/faqs_general.htm#10nr

This gives a bit of guidance about tax on rental properties for non-uk residents - in Inland Revenue-speak though unfortunately :rofl:

Re: Property question
 

No, not worried at all as we only have a mortgage on a very small part of our property in the UK so it would have to lose over 400k in value for us to be in negative equity!! Even if the market dips (it certainly hasn't where we are yet, things are still selling quickly and for v high money) we'd still make money so it's a worthwhile investment for us.

And if we can buy in both countries then why not?? That way we cover both options and don't lose out. We're not planning on going to Canada forever anyway, just a few years, as we are perfectly happy with our lives here. But even if we were planning on emigrating permanently, I still wouldn't give up my UK property until I'd been there for a few years just in case we did change our minds and want to return home. Extra cautious perhaps!! :)

Re: Property question
 

Where we live in SW London, property is still at a premium. Flats especially sell very quickly and are currently priced at c. £450K for a 2 bed. Madness. We certainly can't afford to make the move up to a 3 bed terrace (in the same area) as you're looking at a minimum of £600K!!

I don't think the US economy is going to have that drastic effect on the UK - long term.

Re: Property question
 

You can nearly buy Nova Scotia for 600K - there's a big old house I've seen in New Glasgow for £20000! That means you could buy a whole street.

Re: Property question
 

Sounds as though your property market is about the same as ours - we're not too far from you in Buckinghamshire. Most things are selling here within 2 weeks and still at ridiculous prices. And sounds as though renting would be a very wise move for you too as you no doubt have a v desirable rental property. :)

Re: Property question
 

Exactly - so we get the best of both worlds and of both property markets but still have a foot on the UK property ladder if/when we want to return home. :)

P.S. $20k?? If the market in NS is rising as sharply as you say then how much was it worth a few years ago, $2k?!?:rofl:

Re: Property question
 

http://www.mls.ca/PropertyDetails.as...ertyID=6688441


I think it has been a rental hence it's price - it's ready for a refurb and 100% profit. One of our properties has gone up 77% since June and another 150% in 2 years. It's usual.

Re: Property question
 

Just to be clear, you think the property market in rural Nova Scotia outperforms that in London?